The Pakistan Stock Exchange (PSX) experienced a steep decline on Friday as intense selling activity pushed the benchmark KSE-100 Index deep into negative territory. Trading opened on a weak note during the final session of the week, with the KSE-100 Index plunging by 1,327 points to 170,393 points. The bearish momentum continued throughout the day as investors remained cautious, leading the market to close with a loss of 1,778 points at 171,115 points.
The sharp fall followed Thursday's rally, when the benchmark index had gained 1,189 points to finish at 172,894 points. Analysts linked the market volatility to cautious investor sentiment along with pressure from broader regional market trends. Other Asian stock markets also ended in the red. Hong Kong's Hang Seng Index declined by 1.09 per cent, while South Korea's KOSPI Index slipped by 0.72 per cent. Japan's Nikkei 225 dropped by 0.58 per cent, whereas China's Shanghai Composite Index fell by 0.43 per cent.
Market participants attributed the sell-off to a combination of factors, including profit-taking after the previous session's gains and concerns over global economic uncertainties. The decline was broad-based, with major sectors such as banking, energy, and cement witnessing significant selling pressure. Analysts expect the market to remain volatile in the coming sessions as investors await fresh triggers, including corporate earnings announcements and policy developments.
